Sector developments and company hires

Abacus case settled
Judge Jennifer Frisch of the Minnesota District Court has terminated the Abacus 2006-10 case (SCI 2 August), after the parties filed a stipulated proposed order resolving Astra Asset Management’s claim against Goldman Sachs. Astra had alleged an EOD and asked the trustee to employ a trust instruction proceeding to confirm Goldman’s violations and to solicit a vote of all investors in the synthetic CDO, who expressed overwhelming support for Astra’s position. Judge Frisch rejected Goldman’s contractual defenses and affirmed the availability of equitable relief. The case was scheduled for a bench trial starting on 22 October.

BUMF 6 claim heard
Business Mortgage Finance 6's claim against Roundstone Technologies (RTL) was heard in the High Court of Justice last week by Justice Nugee, who ruled in the issuer’s favour (SCI 29 August). In particular, he found that the purported sale and purchase agreement between the issuer and RTL was invalid and that Alfred Olutayo Oyekoya had no actual authority to act on behalf of the issuer. RTL was also ordered to pay the issuer's costs of the claim, including an interim payment of £160,000 to be made within 14 days.